The invention relates to a security tag to detect if merchandise is being taken without payment and/or to track store inventory levels. Many different types of merchandise are packaged in containers or pails which use a plastic, rope or wire loop type handle to carry the container. An example of such a container includes paint cans made of both metal and plastic, e.g., a one gallon container made of metal and a five gallon container made of plastic. In order to protect merchandise from theft, many retailers use electronic article (EAS) tags affixed to the goods. Alternatively, the tag may include an RFID label which can be used to monitor inventory levels in the store.